KKR Completes $4 Billion Fundraise for Dislocation Opportunities Back to Press Releases

KKR Completes $4 Billion Fundraise for Dislocation Opportunities

May 28, 2020

NEW YORK–(BUSINESS WIRE)– Leading global investment firm KKR today announced that it has completed a capital raise focused on investing in credit opportunities created by recent market volatility. In total, KKR raised approximately $4 billion, which includes $2.8 billion in its KKR Dislocation Opportunities Fund (the “Fund”) and over $1.1 billion from separately managed accounts committed to the same investment opportunities.

The Fund and separately managed account commitments will operate within KKR’s $67.6 billion credit business and will have the ability to draw on the Firm’s global network of resources and experience, including in private equity, infrastructure, and real estate, where appropriate. They have a flexible mandate to invest in what is expected to be an evolving set of opportunities across public and private credit markets over an initial 18-month investment period.

“KKR’s integrated global platform empowers us to access a deep pipeline of opportunities and recent market volatility has created the chance to invest in high-quality companies at attractive prices and with strong downside-protection,” said Chris Sheldon, Head of Leveraged Credit. “We are grateful for the trust of our investors which enabled us to immediately deploy a significant amount of capital into the March sell-off.”

The entire capital raise took place over an eight week period. The KKR Dislocation Opportunities Fund held its final close on May 19th and included commitments from over 20 new institutional investors to KKR and over 40 new investors to KKR Credit. A major wealth management platform also contributed to the fundraising.

Jennifer Box and Blaine MacDougald will serve as Co-Portfolio Managers of the Dislocation Opportunities strategy which will focus on investing in attractively priced credit risk in the secondary markets and providing liquidity and capital solutions to high-quality borrowers as they manage through the crisis resulting from COVID-19. Investment themes include high-quality corporate credit and asset-backed and real estate credit in North America and Europe. The scale and deep sector expertise of KKR’s global platform enables differentiated speed of execution and the ability to invest across the capital structure.

KKR and its employees have committed approximately $447 million of capital to the Fund.

About KKR

KKR is a leading global investment firm that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate and credit, with strategic partners that manage hedge funds. KKR aims to generate attractive investment returns for its fund investors by following a patient and disciplined investment approach, employing world-class people, and driving growth and value creation with KKR portfolio companies. KKR invests its own capital alongside the capital it manages for fund investors and provides financing solutions and investment opportunities through its capital markets business. References to KKR’s investments may include the activities of its sponsored funds. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

Media
Kristi Huller or Miles Radcliffe-Trenner
212.750.8300
Media@KKR.com

Source: KKR


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Americas

Kristi Huller
Miles Radcliffe-Trenner
Julia Kosygina
Telephone: +1 (212) 750-8300

Email: media@kkr.com

EMEA

Annabel Arthur
Telephone: +44 20 7839 9800

Email: kkrpr-uk@kkr.com

Asia-Pacific

Anita Davis
Wei Jun Ong
Telephone: +852 3602 7335

Email: media@kkr.com

Investor Relations

‍Craig Larson
Telephone: +1 (877) 610-4910
Outside US: +1 (212) 230-9410
Facsimile: +1 (212) 750-0003
Email: Investor-Relations@kkr.com

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This presentation contains certain forward-looking statements pertaining to KKR & Co. Inc. and its consolidated subsidiaries (collectively “KKR”), including certain investment funds, vehicles and accounts that are managed by KKR (each, a “fund”). Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. The forward-looking statements are based on KKR’s beliefs, assumptions and expectations of its future performance, taking into account all information currently available to it. These beliefs, assumptions and expectations can change as a result of many possible events or factors, not all of which are known to KKR or are within its control. If a change occurs, KKR’s business, financial condition, liquidity and results of operations, including but not limited to, assets under management, fee paying assets under management, after-tax distributable earnings, capital invested, syndicated capital, uncalled commitments, cash and short-term investments, fee related earnings, fee and yield segment EBITDA, core interest expense and book value, may vary materially from those expressed in the forward-looking statements. The following factors, among others, could cause actual results to vary from the forward-looking statements: whether KKR realizes all or any of the anticipated benefits from converting to a corporation and the timing of realizing such benefits; whether there are increased or unforeseen costs associated with the conversion, including any adverse change in tax law; the volatility of the capital markets; the general volatility of the capital markets; failure to realize the benefits of or changes in KKR’s business strategies including the ability to realize the anticipated synergies from acquisitions or strategic partnerships or other transactions; availability, terms and deployment of capital; availability of qualified personnel and expense of recruiting and retaining such personnel; changes in the asset management industry, interest rates or the general economy; underperformance of KKR's investments and decreased ability to raise funds; and the degree and nature of KKR’s competition. All forward-looking statements speak only as of the date they are made. KKR does not undertake any obligation to update any forward-looking statements to reflect circumstances or events that occur after the date on which such statements were made except as required by law. In addition, KKR’s business strategy is focused on the long-term and financial results are subject to significant volatility.

Additional information about factors affecting KKR, including a description of risks that may be important to a decision to purchase or sell any common or preferred stock of KKR & Co. Inc., can be found in KKR & Co. Inc.’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and its other filings with the SEC, which are available at www.sec.gov.

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